12/15/2013
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Disaster-proofyour business
for SMEs, Startups & Freelancers
Speaker
Jeremy Jay V. LimCSSBB, PMP, BPM, IATA
Objectives of the Keynote Talk
Discuss what disaster-proofing is about
Illustrate disaster-proofing for your business with
simple easy steps using project management basics
Share tips and best practices of disaster-proofing
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–Anonymous
“Natural Disasters are becoming the New Norm!”
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Why does it matter?
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4
Business Owner defending
his store from looters
www.philstar.com, 2013
www.philstar.com, 2013
Business Loss due to Disaster
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Natural Disasters in the Philippines
2000-2012
Source: Emergency Events Database (EM-DAT) of US Foreign Disaster Assistance and CRED International Disaster Database
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Disaster-proofing is about anticipating harmful,
calamitous events which may likely happen.
A disaster that may happen is called a
"Disaster Risk"
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What is Disaster-Proofing?
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What intensifies a Disaster Risk?
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"Building Resilience - Integrating Climate & Disaster Risk into Development", World Bank Group, 2013
Lack of Planning
Lack of preparedness
CONTROLLABLE
CONTROLLABLE
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Some Terminologies
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Ability to recover from a disasterVulnerability
• Disaster-proofing lessens vulnerability
• Ex. Disaster Risk Reduction planning and Business Recovery planning
Chance of being affected by a disasterExposure
• Preparedness lessens exposure
• Ex. Weather monitoring
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How do you
Disaster-proofyour Business?
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PRE DURING POST
Manage disaster risk according to stages
Disaster-proofing is proactive
Goal
PREPAREDNESSGoal
RISK REDUCTIONGoal
RECOVERYSuccess Criteria
100% Ready to Respond
Drills conducted
Evacuation Plan in place
Worst Case Scenario plan
Success Criteria
Minimize Impact
Minimize Damage
All Plans executed
Success Criteria
Full Recovery to Normal
Recovery Time achieved
Business Continuity
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INITATING PLANNING EXECUTION CONTROLLING CLOSING
Use Project Management Process
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Project Management Process(for Small Businesses)
• Should I do it or not?• What can I get out of it?
Initiating
• What needs to be done?Planning
• Have I done everything needed?Execution
• Is everything according to my plan?Controlling
• Have I met my objectives?• Did I get what I want?
Closing
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PRE
INITIATING PLANNING
DURING
EXECUTING RISK
REDUCTION
POST
EXECUTING RECOVERY
CLOSING
Disaster-Proofing Processfor your Business
Where the goal is to be able to run your
business continuously immediately after a
disaster with minimal loss or damage
CONTROLLING
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Disaster-proofing Process(for your Business)
• Should I do disaster-proofing for my business?Initiating
• What needs to be done to be disaster-proof?Planning
• Have I done everything that was planned?Execution
• Did everything go according to plan?Controlling
• Have I fully recovered from the disaster?Closing
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Initiating Disaster-Proofing
General Steps
Think of a Compelling Reason (Business Case) for Disaster-
Proofing your Business
Jot down your initial thoughts (charter) for Disaster Proofing
• Should I do disaster-proofing for my business?Initiating
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Charter
What is at risk?
Who and What will be affected?
How much will it cost me not to do Disaster-proofing?
Who can I ask for help in Disaster-proofing my
business? Who should I involve?
When should I have everything ready to be Disaster-
proof?
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Template for Initiating Disaster-Proofing
Try it!
Checklist Your thoughts
What is at risk?
Who and What will be affected?
My business data, my employees,
machinery, computer hardware
How much will it cost me not to do
Disaster-proofing?
I could lose the whole business worth
Php300k
Who can I ask for help in
Disaster-proofing my business?
Barangay officials, insurance provider, data
cloud service provider, data recovery expert
Who should I involve? Family, employees, barangay officials
When should I be ready? Before rainy season starts, XX 2014
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Planning Step
Create plans for scope (coverage), budget,
resources, communication, and purchases
Create action plans for disaster risk reduction and
business recovery
Rehearse and test the effectiveness of your plans
• What needs to be done to be disaster-proof?Planning
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Planning Disaster-Proofing
If a disaster occurs, what are the things I need to do to reduce damage
to my business, livelihood and family?
After the disaster, what should I do to get everything back to normal?
What are the things I need to be prepared for a disaster – for my
business, livelihood and family?
What do I need to keep my business running immediately after the
disaster and to protect my business during the disaster?
How much do I need to set aside as budget for disaster-proofing?
How do I get in touch with others so they know if we’re ok and when
we are back to normal?
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Disaster Risk
Reduction Techniques
to reduce disaster impact
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Avoid, Mitigate
Transfer, Accept
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Disaster Risk Reduction Techniques
21
“Head first PMP”, Jennifer Greene PMP and Andrew Stellman PMP, O’Reilly Media, 2007
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Disaster Risk Reduction Techniques
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“Head first PMP”, Jennifer Greene PMP and Andrew Stellman PMP, O’Reilly Media, 2007
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Examples of Risk Reduction
Any additional ideas?
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TECHNIQUE EXAMPLE
AVOID
Moving to another location to avoid the effects of incoming disaster
Backing up data in the cloud
Taking the removable hard disk drive with you during evacuation
MITIGATE
Moving skeletal force to evacuation site during disaster
Flood control in the gate
Switching to backup system during disaster
TRANSFERAvailing insurance for Acts of God
Using a program to automatically backup and restore your data
ACCEPT Do nothing, perhaps just save one’s self and start all over again
Business Recovery
Techniques
to get back to normal ASAP
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Skeletal force
Mirror, Backup system
Call tree
Contingency fund
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Executing Disaster-Proofing
Do the action plans as according to the Disaster
Timeline (phases)
Ensure that the action plans are done on time based
on some situation signals
Disaster risk reduction requires timely action.
Business recovery requires actions to be on time.
• Have I done everything that was planned?Execution
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Controlling Step
Use checklist to review if the planned action steps
were done effectively.
• Did everything go according to plan?Controlling
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Closing Step
What went wrong and what went right?
Assess the success of disaster-proofing.
Look at the success of disaster-proofing ingredients:
preparedness, risk reduction, business recovery
Have I achieved my goals of minimal damage and
quick business recovery or business continuity?
• Have I fully recovered from the disaster?Closing
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Disaster-proofing Process(for your Business)
• Should I do disaster-proofing for my business?Initiating
• What needs to be done to be disaster-proof?Planning
• Have I done everything that was planned?Execution
• Did everything go according to plan?Controlling
• Have I fully recovered from the disaster?Closing
Wrap up28
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Common Mistakes
Assuming it will never happen or affect you
Acts of God can never be predicted and managed
Assume Customers will understand anyway
No need to document anything
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Summary
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“Disaster-proofing is about risk management.”
“Disaster-proofing starts with the mindset.”
“Project Management shows the disaster-
proofing steps from beginning to end.”
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Don’t be a helpless victim of a disaster.
Start by disaster-proofing your business
and your livelihood
NOW!
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References:
"Annual Disaster Statistical Review - 2012" by Sapir, Hoyois and Below, CRED
Emergency Events Database (EM-DAT) of US Foreign Disaster Assistance and CRED International Disaster Database
"Natural Disasters At a Glance-2013", (Philippine Senate Economic Planning Office (SEPO)
"Building Resilience - Integrating Climate & Disaster Risk into Development", World Bank Group, 2013
"Project Management Book of Knowledge (PMBOK) 5th Ed." , Project Management Institute, 2013
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"Project Management for Disaster Recovery”, Project Management Institute, 2005
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“Head first PMP”, Jennifer Greene PMP and Andrew Stellman PMP, O’Reilly Media, 2007
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